On December 10, General Motors  (GM)  made a shocking announcement that would help protect its business interests. 

The Detroit giant announced that it would shut down Cruise, its robotaxi business, which operated in several U.S. cities, including San Francisco, Phoenix, Dallas, and Houston. It noted that the prohibitively expensive technology development costs dissuaded the automaker from wanting to continue.

“We looked at the amount of money to deploy a robotaxi business and to maintain that business and grow it, it’s quite a bit of capital,” GM CEO Mary Barra told analysts. “A robotaxi business is not GM’s core business.”

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In a post on the social media platform X (formerly known as Twitter) Cruise founder and former CEO Kyle Vogt lambasted Barra’s decision, calling the world’s second-largest automaker “a bunch of dummies” for what they have done.

“In case it was unclear before, it is clear now: GM are a bunch of dummies,” Vogt wrote.

A driver uses Super Cruise on the 2024 Chevrolet Silverado EV RST. General Motors is partnering with tech giant NVIDIA to advance self-driving technology in addition to other technological projects.

Chevrolet

General Motors, powered by Nvidia

During Nvidia’s  (NVDA)  annual GTC AI Conference in San Jose, California, on March 18, leather jacket aficionado and Nvidia CEO Jensen Huang announced that General Motors will partner with the leading tech company. 

GM says the partnership will help them in several areas, including building safer, more energy-efficient manufacturing plants, reducing costs in developing and building new cars, developing advanced robotics, and advancing self-driving technology in its cars. 

Nvidia has become one of the highest-profile companies to emerge from Silicon Valley, as its expertise in building chips has given it a large anchor in the world of Artificial Intelligence (AI). 

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The duo will build tailor-made AI solutions using Nvidia’s computer chips. GM plans to use AI to help it find solutions to optimize its manufacturing capabilities, including using virtual testing and production line simulations to reduce downtime on actual factory floors. 

Additionally, the chips will also be used to help train robotics platforms in precision welding and material handling in GM factories. The company feels this will help it improve safety and reduce the burden on workers, which it says will improve vehicle quality. 

“AI not only optimizes manufacturing processes and accelerates virtual testing but also helps us build smarter vehicles while empowering our workforce to focus on craftsmanship,” GM CEO Mary Barra said in a statement. “By merging technology with human ingenuity, we unlock new levels of innovation in vehicle manufacturing and beyond.”

Related: GM faces massive recall due to a dangerous issue

GM Super Cruise, powered by Nvidia

Another big focus of the GM-Nvidia partnership involves advancing automakers’ self-driving technology, which they plan to use in personal vehicles rather than robotaxis.

Following the divestment and closure of Cruise, GM has combined the operations of the robotaxi firm with its own teams working on autonomous driving technology to share expertise.

Currently, General Motors sells a “hands-free driving” feature called Super Cruise on select vehicles. Unlike systems developed by Tesla, it is compatible with a select number of laser-scanned roads by the automaker, including major highways and corridors such as major interstates.

GM plans to harness the computing power of Nvidia Drive AGX to help advance this technology at scale. 

During its Q4 and full-year 2024 earnings call in January, GM noted that customer interest in Super Cruise is growing and that 360,000 vehicles equipped with Super Cruise are now on the road.

“The era of physical AI is here, and together with GM, we’re transforming transportation, from vehicles to the factories where they’re made,” NVIDIA CEO Jensen Huang said in a statement. “We are thrilled to partner with GM to build AI systems tailored to their vision, craft and know-how.”

General Motors trades on the New York Stock Exchange under the ticker GM.

Nvidia Corporation trades on the NASDAQ as NVDA

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